Mileage Deductions for Self Employed: Standard Rate, Actual Costs, and How to Log It
Every mile you drive for a client visit, supply run, or job-site trip can qualify as a business deduction — but only when tracked correctly and paired with the right method. For the full picture of what self-employed filers can deduct, see Self Employed Tax Deductions.
Which Miles Actually Qualify
The IRS allows a deduction for business miles — not commuting miles. Driving from your home to a regular office is commuting and is not deductible. But if your home is your principal place of business (common for freelancers and independent contractors), trips from home to client meetings, project sites, or a supply store all count as business miles under 2025 IRS rules.
Qualifying trip types include: client visits, trips to pick up materials or equipment, travel between multiple job sites in a single day, and driving to a temporary work location. Errands that mix personal and business purposes — a supply run followed by a personal stop — require you to log only the business-purpose segment.
Standard Mileage Rate vs. Actual Vehicle Costs
You pick one method per vehicle per tax year, and the choice has real consequences. The standard mileage rate for 2025 is 70 cents per mile — multiply your total qualifying business miles by that rate for your deduction, with no fuel receipts or depreciation calculations required. Tracking this alongside other deductions is easier with a structured Self Employed Tax Deductions Worksheet.
The actual expense method tracks what you literally spend to operate the vehicle — fuel, insurance, registration, repairs, and depreciation — then applies a business-use percentage. If your car is driven 60% for business, you deduct 60% of total vehicle costs. This method often produces a larger deduction for high-cost or high-depreciation vehicles, but it requires significantly more documentation and commits you to actual expenses for that vehicle going forward (you can't switch back to standard mileage after claiming depreciation in year one).
For most first-year freelancers and contractors, the standard mileage rate is simpler to calculate and easier to defend. The IRS mileage rate is updated annually, so confirm the current rate on IRS.gov before filing.
Mileage Log: What the IRS Requires
A contemporaneous log is not optional. The IRS specifically requires that mileage records be kept at or near the time of each trip — year-end reconstructions from memory are not accepted as documentation (2025 IRS rules). Each log entry needs four things:
- Date of the trip
- Destination or general area driven
- Business purpose
- Number of miles for that trip
A mileage-tracking app, a spreadsheet updated same-day, or even a paper notebook in your glove box all work — what matters is that the record exists at the time of travel, not at filing. You should also note your vehicle's odometer reading at the start and end of each year to document total annual mileage alongside business mileage.
How to Use a Mileage Deduction Calculator
A mileage deduction calculator takes your total logged business miles, applies the current IRS standard mileage rate, and returns your estimated deductible amount. Some tools also run the actual expense method in parallel so you can compare outcomes before committing — actual results depend on your vehicle, use percentage, and prior-year method elections.
If you drive high annual business mileage, running both methods side-by-side is worth the extra time before you finalize your return.
Where Mileage Goes on Your Return
If you file Schedule C as a sole proprietor or single-member, vehicle expenses go on Part II, Line 9 (car and truck expenses). You'll also need to complete Part IV of Schedule C, which asks for your total mileage, business mileage, commuting mileage, and whether you have written evidence — that's your mileage log. The actual expense method requires Form 4562 if you're claiming depreciation.
Mileage is one of the deduction categories the IRS scrutinizes most closely for self-employed filers. To keep your mileage log integrated with the rest of your Schedule C records throughout the year, a Self Employed Tax Deductions Worksheet can help you track all categories in one place.